on Wednesday, August 21st, 2013 at 11:39am.
In Washington D.C., the real estate market is clearly in the seller’s favor. Here, prices are rising and inventory is tight. Couple that with rising interest rates pushing more buyers off the fence, and this seller’s market makes it one that’s tricky for buyers to compete in.
But buyers can take several steps to improve their odds of landing their dream home. First, understand a seller’s specific terms such as a desire to move out quickly. Buyers who cater to sellers’ specific wishes have better chances of securing successful contracts.
Buyers in D.C.’s seller’s market can also add escalation clauses to their bid offers. That means that they can posit a lower bid but can reduce their chances of being outbid by adding in a clause that increases in particular increments up to a particular maximum. The design works like bidding on eBay in that a buyer can mask their true maximum until bidding becomes competitive.
And, thirdly, buyers willing to risk a few hundred dollars on completing a home inspection before they submit a contract can greatly improve their chances of landing their dream home in a tight market. An early inspection can appeal to sellers who do not want to wait for a lengthy contingency time period.
In Washington D.C.’s seller’s market, active listings have edged up since January, but the number of sales here have risen in tandem and the city’s real estate market remains one of the hottest in the nation. Buyers who take a few extra measures to up their chances in landing the real estate are likely to find that time and effort well spent.